In a recent article ( Cryptocurrencies: What’s the Volatility of the Top 3? ) we showed that bitcoin volatility reached in the last period a very low level for its standards, close to the 0.90% level. However, starting from 14 November the volatility resumed its uptrend and in the last days it jumped above 4%.

The bitcoin low-volatiliy period seems to be over and this moment represents the worst possible awakening for investors and hodlers: in few days bitcoin lost 20% and now the most famous cryptocurrency is down by 66% YTD.

The possible reasons can be the following:

Purely technical: prices have tested many times the 6000 $ level. Breaking this support may have triggered heavy sellings.

Crypto community can be worried about the bitcoin cash imminent fork.

The financial markets weakness (the tech sector in particular) may have pushed speculators to sell also their positions in cryptocurrencies.